Union Pacific (NYSE:UNP) Shares Gap Up After Strong Earnings

Union Pacific Co. (NYSE:UNP) gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $235.80, but opened at $246.65. Union Pacific shares last traded at $247.11, with a volume of 962,652 shares trading hands.

The railroad operator reported $2.91 earnings per share for the quarter, topping the consensus estimate of $2.76 by $0.15. Union Pacific had a net margin of 27.33% and a return on equity of 41.79%. During the same period last year, the firm earned $2.71 EPS.

Union Pacific Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, December 30th. Shareholders of record on Monday, December 9th were issued a dividend of $1.34 per share. The ex-dividend date of this dividend was Monday, December 9th. This represents a $5.36 annualized dividend and a yield of 2.15%. Union Pacific’s dividend payout ratio is presently 49.22%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on UNP shares. Raymond James reaffirmed a “strong-buy” rating and set a $285.00 price target (up previously from $265.00) on shares of Union Pacific in a research report on Friday. Guggenheim lifted their price target on shares of Union Pacific from $266.00 to $275.00 and gave the company a “buy” rating in a research note on Friday. Wells Fargo & Company lowered their price objective on shares of Union Pacific from $267.00 to $265.00 and set an “overweight” rating for the company in a research report on Tuesday, January 7th. JPMorgan Chase & Co. cut their price objective on shares of Union Pacific from $263.00 to $252.00 and set a “neutral” rating on the stock in a research report on Friday, October 25th. Finally, Sanford C. Bernstein lowered their target price on Union Pacific from $277.00 to $272.00 and set an “outperform” rating for the company in a report on Wednesday, October 9th. Nine research analysts have rated the stock with a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, Union Pacific currently has an average rating of “Moderate Buy” and an average target price of $262.57.

Institutional Trading of Union Pacific

Several institutional investors and hedge funds have recently added to or reduced their stakes in UNP. International Assets Investment Management LLC raised its holdings in shares of Union Pacific by 19,878.6% in the 3rd quarter. International Assets Investment Management LLC now owns 896,040 shares of the railroad operator’s stock valued at $220,856,000 after purchasing an additional 891,555 shares during the period. Franklin Resources Inc. raised its stake in Union Pacific by 9.3% in the third quarter. Franklin Resources Inc. now owns 7,322,450 shares of the railroad operator’s stock valued at $1,795,993,000 after buying an additional 625,492 shares during the period. Impax Asset Management Group plc lifted its position in shares of Union Pacific by 2,025.4% in the third quarter. Impax Asset Management Group plc now owns 546,236 shares of the railroad operator’s stock valued at $134,636,000 after buying an additional 520,536 shares during the last quarter. Jennison Associates LLC boosted its stake in shares of Union Pacific by 170.9% during the 3rd quarter. Jennison Associates LLC now owns 736,246 shares of the railroad operator’s stock worth $181,470,000 after acquiring an additional 464,477 shares during the period. Finally, Assenagon Asset Management S.A. increased its holdings in shares of Union Pacific by 35.8% during the 4th quarter. Assenagon Asset Management S.A. now owns 1,226,100 shares of the railroad operator’s stock worth $279,600,000 after acquiring an additional 323,525 shares during the last quarter. 80.38% of the stock is owned by institutional investors.

Union Pacific Trading Up 0.4 %

The business has a 50 day moving average of $233.78 and a two-hundred day moving average of $239.22. The firm has a market cap of $150.92 billion, a P/E ratio of 22.86, a PEG ratio of 2.12 and a beta of 1.06. The company has a current ratio of 0.77, a quick ratio of 0.63 and a debt-to-equity ratio of 1.79.

About Union Pacific

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.